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Market Comment - January '21

January 2021

Investing in shares may lose you all or some of your money. Past performance is no indication of future performance. Some of the shares recommended here may be small company shares, which can be relatively illiquid and hard to trade and this makes such shares more risky than other investments.

“A Year Of Living Dangerously.”  No, not 2020. Think 2021.Last year was difficult, extreme, and tragic, in so many different ways. Yet, bizarrely, it was not extreme enough from an investment perspective. It is strange that someone like us should make that point but it is not our function to be market cheerleaders; our great emphasis is, of course, incisive analysis of individual smaller companies. But it would be remiss if in this small space we did not also highlight macro problems.Since this time last year, the risks, centred on the US stock market, are not simply unchanged - they have become greater. Valuations are even more extreme, investor behaviour has again reached new manic highs, and the debt mount ...

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With small companies there is an above average degree of risk compared to buying blue chips. Please be aware that we have not assessed the suitability of any of these investments for you. The newsletter simply states a personal view and diarises the editor’s investment decisions. Please speak to your stockbroker or other qualified individual to ascertain whether any of these companies mentioned would form useful additions to your own portfolios. Past performance is no indication of future success.

All material on this website is protected by copyright. You may use Information retrieved from the www.scsw.co.uk website for your own personal non-commercial use which means that you may not sell or copy this information to any third party without prior written consent. ISSN 1358-183X

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